North Carolina § 126-5 - Employees subject to Chapter; exemptions.

§ 126-5. Employees subject to Chapter; exemptions.

The provisions of this Chapter shall apply to: All State employees not herein exempt, and All employees of the following local entities: Area mental health, developmental disabilities, and substance abuse authorities, except as otherwise provided in Chapter 122C of the General Statutes. Local social services departments. County health departments and district health departments. Local emergency management agencies that receive federal grant-in-aid funds. County employees not included under subdivision (2) of this subsection as the several boards of county commissioners may from time to time determine. As used in this section: "Exempt position" means an exempt managerial position or an exempt policymaking position. "Exempt managerial position" means a position delegated with significant managerial or programmatic responsibility that is essential to the successful operation of a State department, agency, or division, so that the application of G.S. 126-35 to an employee in the position would cause undue disruption to the operations of the agency, department, institution, or division. "Exempt policymaking position" means a position delegated with the authority to impose the final decision as to a settled course of action to be followed within a department, agency, or division, so that a loyalty to the Governor or other elected department head in their respective offices is reasonably necessary to implement the policies of their offices. The term shall not include personnel professionals. "Personnel professional" means any employee in a State department, agency, institution, or division whose primary job duties involve administrative personnel and human resources functions for that State department, agency, institution, or division. Except as to the policies, rules, and plans established by the Commission pursuant to G.S. 126-4(1), 126-4(2), 126-4(3), 126-4(4), 126-4(5), 126-4(6), and 126-7, and except as to the provisions of Articles 6 and 7 of this Chapter, the provisions of this Chapter shall not apply to: A State employee who is not a career State employee as defined by this Chapter. One confidential assistant and two confidential secretaries for each elected or appointed department head and one confidential secretary for each chief deputy or chief administrative assistant. Employees in exempt policymaking positions designated pursuant to G.S. 126-5(d). The chief deputy or chief administrative assistant to the head of each State department who is designated either by statute or by the department head to act for and perform all of the duties of such department head during his absence or incapacity. Except as to the provisions of Articles 6 and 7 of this Chapter, the provisions of this Chapter shall not apply to: Constitutional officers of the State. Officers and employees of the Judicial Department. Deputy commissioners appointed pursuant to G.S. 97-79. Officers and employees of the General Assembly. Members of boards, committees, commissions, councils, and advisory councils compensated on a per diem basis. Officials or employees whose salaries are fixed by the General Assembly, or by the Governor, or by the Governor and Council of State, or by the Governor subject to the approval of the Council of State. Employees of the Office of the Governor that the Governor, at any time, in the Governor's discretion, exempts from the application of the provisions of this Chapter by means of a letter to the Director of the Office of State Human Resources designating these employees. Employees of the Office of the Lieutenant Governor, that the Lieutenant Governor, at any time, in the Lieutenant Governor's discretion, exempts from the application of the provisions of this Chapter by means of a letter to the Director of the Office of State Human Resources designating these employees. Instructional and research staff, finance professionals, business office professionals, auditor professionals, information technology professionals, physicians, and dentists of The University of North Carolina, including the faculty of the North Carolina School of Science and Mathematics. Employees of a regional school established pursuant to Part 10 of Article 16 of Chapter 115C of the General Statutes. Employees whose salaries are fixed under the authority vested in the Board of Governors of The University of North Carolina by the provisions of G.S. 116-11(4), 116-11(5), and 116-14. Employees of the North Carolina Cooperative Extension Service of North Carolina State University who are employed in county operations and who are not exempt pursuant to subdivision (8) or (9) of this subsection. Repealed by Session Laws 1991, c. 84, s. 1. Repealed by Session Laws 2006-66, s. 9.11(z), effective July 1, 2007. , (13) Repealed by Session Laws 2001-474, s. 15, effective November 29, 2001. Repealed by Session Laws 2018-5, s. 15.5(e), effective July 1, 2018. The provisions of this Chapter shall not apply to: Public school superintendents, principals, teachers, and other public school employees. Recodified as G.S. 126-5(c)(4) by Session Laws 1985 (Regular Session, 1986), c. 1014, s. 41. Employees of community colleges whose salaries are fixed in accordance with the provisions of G.S. 115D-5 and G.S. 115D-20, and employees of the Community Colleges System Office whose salaries are fixed by the State Board of Community Colleges in accordance with the provisions of G.S. 115D-3. Employees of the Office of Proprietary Schools whose salaries are fixed by the State Board of Proprietary Schools in accordance with the provisions of G.S. 115D-89.2. Officers, employees, and members of the governing board of a North Carolina nonprofit corporation with which the Department of Commerce has contracted pursuant to the authority granted in G.S. 143B-431.01. Except as to the policies, rules, and plans established by the Commission pursuant to G.S. 126-4(5) and the provisions of Article 6 of this Chapter, the provisions of this Chapter shall not apply to: Teaching and related educational classes of employees of the Division of Adult Correction and Juvenile Justice of the Department of Public Safety, the Department of Health and Human Services, and any other State department, agency or institution, whose salaries shall be set in the same manner as set for corresponding public school employees in accordance with Chapter 115C of the General Statutes. Repealed by Session Laws 1993, c. 321, s. 145(b). Notwithstanding any other provision of this Chapter, Article 14 of this Chapter shall apply to all State employees, public school employees, and community college employees. Article 15 of this Chapter shall apply to all State employees, public school employees, and community college employees. Except as to the policies, rules, and plans established by the Commission pursuant to G.S. 126-4(1), 126-4(2), 126-4(3), 126-4(4), 126-4(5), 126-4(6), 126-7, 126-14.3, and except as to the provisions of G.S. 126-14.2, G.S. 126-34.1(a)(2), and Articles 6 and 7 of this Chapter, the provisions of this Chapter shall not apply to exempt managerial positions. Except as to the provisions of Articles 5, 6, 7, and 14 of this Chapter, the provisions of this Chapter shall not apply to: Employees of the University of North Carolina Health Care System. Employees of the University of North Carolina Hospitals at Chapel Hill, as may be provided pursuant to G.S. 116-37(a)(4). Employees of the clinical patient care programs of the School of Medicine of the University of North Carolina at Chapel Hill as may be provided pursuant to G.S. 116-37(a)(4). Employees of the Medical Faculty Practice Plan, a division of the School of Medicine of East Carolina University. Notwithstanding any other provision of this section, the provisions of Article 16 of this Chapter shall apply to all exempt and nonexempt State employees in the executive, legislative, and judicial branches unless provided otherwise by Article 16 of this Chapter. The provisions of Article 16 of this Chapter shall not apply to employees described in subdivisions (2) and (3) of subsection (a) of this section. The Office of the Commissioner of Banks and its employees; and The following employees of the Department of Natural and Cultural Resources: Director and Associate Directors of the North Carolina Museum of History. Program Chiefs and Curators. Regional History Museum Administrators and Curators. North Carolina Symphony. Director, Associate Directors, and Curators of Tryon Palace. Director, Associate Directors, and Curators of Transportation Museum. Director and Associate Directors of the North Carolina Arts Council. Director, Assistant Directors, and Curators of the Division of State Historic Sites. Employees of the Department of Information Technology (DIT), and employees in all agencies, departments, and institutions with similar classifications as DIT employees, who voluntarily relinquish annual longevity payments, relinquish any claim to longevity pay, voluntarily relinquish any claim to career status or eligibility for career status as approved by the State Chief Information Officer and the Director of the Office of State Human Resources (OSHR). Exempt Positions in Cabinet Department. - Subject to the provisions of this Chapter, which is known as the North Carolina Human Resources Act, the Governor may designate a total of 425 exempt positions throughout the following departments and offices: (d) (1) Exempt Positions in Cabinet Department. - Subject to the provisions of this Chapter, which is known as the North Carolina Human Resources Act, the Governor may designate a total of 425 exempt positions throughout the following departments and offices: Department of Administration. Department of Commerce. Repealed by Session Laws 2012-83, s. 7, effective June 26, 2012, and by Session Laws 2012-142, s. 25.2E(a), effective January 1, 2013. Department of Public Safety. Department of Natural and Cultural Resources. Department of Health and Human Services. Department of Environmental Quality. Department of Revenue. Department of Transportation. Repealed by Session Laws 2012-83, s. 7, effective June 26, 2012, and by Session Laws 2012-142, s. 25.2E(a), effective January 1, 2013. Department of Information Technology. , m. Repealed by Session Laws 2016-126, 4th Ex. Sess., s. 7, effective December 19, 2016. Exempt Positions in Council of State Departments and Offices. - The Secretary of State, the Auditor, the Treasurer, the Attorney General, the Superintendent of Public Instruction, the Commissioner of Agriculture, the Commissioner of Insurance, and the Labor Commissioner may designate exempt positions. The number of exempt policymaking positions in each department headed by an elected department head listed above in this sub-subdivision shall be limited to 25 exempt policymaking positions or two percent (2%) of the total number of full-time positions in the department, whichever is greater. The number of exempt managerial positions shall be limited to 25 positions or two percent (2%) of the total number of full-time positions in the department, whichever is greater. The number of exempt policymaking positions designated by the Superintendent of Public Instruction shall be limited to 70 exempt policymaking positions or two percent (2%) of the total number of full-time positions in the department, whichever is greater. The number of exempt managerial positions designated by the Superintendent of Public Instruction shall be limited to 70 exempt managerial positions or two percent (2%) of the total number of full-time positions in the department, whichever is greater. Designation of Additional Positions. - The Governor or elected department head may request that additional positions be designated as exempt. The request shall be made by sending a list of exempt positions that exceed the limit imposed by this subsection to the Speaker of the North Carolina House of Representatives and the President of the North Carolina Senate. A copy of the list also shall be sent to the Director of the Office of State Human Resources. The General Assembly may authorize all, or part of, the additional positions to be designated as exempt positions. If the General Assembly is in session when the list is submitted and does not act within 30 days after the list is submitted, the list shall be deemed approved by the General Assembly, and the positions shall be designated as exempt positions. If the General Assembly is not in session when the list is submitted, the 30-day period shall not begin to run until the next date that the General Assembly convenes or reconvenes, other than for a special session called for a specific purpose not involving the approval of the list of additional positions to be designated as exempt positions; the policymaking positions shall not be designated as exempt during the interim. Designation of Liaison Positions. - Liaisons to the Collaboration for Prosperity Zones set out in G.S. 143B-28.1 for the Departments of Commerce, Environmental Quality, and Transportation are designated as exempt. Repealed by Session Laws 2017-6, s. 1, effective May 1, 2017. Letter. - These positions shall be designated in a letter to the Director of the Office of State Human Resources, the Speaker of the House of Representatives, and the President of the Senate by July 1 of the year in which the oath of office is administered to each Governor unless the provisions of subsection (d)(4) apply. Vacancies. - In the event of a vacancy in the Office of Governor or in the office of a member of the Council of State, the person who succeeds to or is appointed or elected to fill the unexpired term shall make such designations in a letter to the Director of the Office of State Human Resources, the Speaker of the House of Representatives, and the President of the Senate within 180 days after the oath of office is administered to that person. Creation, Transfer, or Reorganization. - The Governor or elected department head may designate as exempt a position that is created or transferred to a different department, or is located in a department in which reorganization has occurred, after October 1 of the year in which the oath of office is administered to the Governor. The designation must be made in a letter to the Director of the Office of State Human Resources, the Speaker of the North Carolina House of Representatives, and the President of the North Carolina Senate within 180 days after such position is created, transferred, or in which reorganization has occurred. Reversal. - Subsequent to the designation of a position as an exempt position as hereinabove provided, the status of the position may be reversed and made subject to the provisions of this Chapter by the Governor or by an elected department head in a letter to the Director of the Office of State Human Resources, the Speaker of the North Carolina House of Representatives, and the President of the North Carolina Senate. Except for deputy commissioners appointed pursuant to G.S. 97-79 and as otherwise specifically provided by this section, no employee, by whatever title, whose primary duties include the power to conduct hearings, take evidence, and enter a decision based on findings of fact and conclusions of law based on statutes and legal precedents shall be designated as exempt. This subdivision shall apply beginning July 1, 1985, and no list submitted after that date shall designate as exempt any employee described in this subdivision. (Repealed for State employees hired on or after August 21, 2013) An exempt employee may be transferred, demoted, or separated from his or her position by the department head authorized to designate the exempt position except as follows: When an employee who has the minimum service requirements described in G.S. 126-1.1 but less than 10 years of cumulative service in subject positions prior to placement in an exempt position is removed from an exempt position, for reasons other than just cause, the employee shall have priority to any position that becomes available for which the employee is qualified, according to rules and regulations regulating and defining priority as promulgated by the State Human Resources Commission. When an employee who has 10 years or more cumulative service, including the immediately preceding 12 months, in subject positions prior to placement in an exempt position is removed from an exempt position, for reasons other than just cause, the employee shall be reassigned to a subject position within the same department or agency, or if necessary within another agency, at the same grade and salary, including all across-the-board increases since placement in the position designated as exempt, as his or her most recent subject position. When a career State employee as defined by G.S. 126-1.1 who has more than two but less than 10 years or more of cumulative service in a subject position moves from one exempt position covered by this subsection to another position covered by this subsection without a break in service and that employee is later removed from the last exempt position, for reasons other than just cause, the employee shall have priority to any position that becomes available for which the employee is qualified, according to the rules regulating and defining priority as adopted by the State Human Resources Commission. When a career State employee as defined by G.S. 126-1.1 who has 10 years or more of cumulative service moves from one exempt position covered by this subsection to another position covered by this subsection without a break in service and that employee is later removed from the last exempt position, for reasons other than just cause, the employee shall be reassigned to a subject position within the same department or agency, or if necessary, within another department or agency. The employee shall be paid at the same grade and salary as the employee's most recent subject position, including all across-the-board legislative increases awarded since the employee's placement in the position that was designated as exempt. (Repealed for State employees hired on or after August 21, 2013) A department head is authorized to use existing budgeted positions within his department in order to carry out the provisions of subsection (e) of this section. If it is necessary to meet the requirements of subsection (e) of this section, a department head may use salary reserve funds authorized for his department. No employee shall be placed in an exempt position without 10 working days prior written notification that such position is so designated. A person applying for a position that is designated as exempt must be notified in writing at the time he makes the application that the position is designated as exempt. In case of dispute as to whether an employee is subject to the provisions of this Chapter, the dispute shall be resolved as provided in Article 3 of Chapter 150B. An employee of a consolidated county human services agency created pursuant to G.S. 153A-77(b) is not considered an employee of an entity listed in this subdivision. (14) Employees of the North Carolina State Ports Authority. (15) Employees of the North Carolina Global TransPark Authority. (16) The executive director and one associate director of the North Carolina Center for Nursing established under Article 9F of Chapter 90 of the General Statutes. (17) Repealed by Session Laws 2004-129, s. 37, effective July 1, 2004. (18) Employees of the Tobacco Trust Fund Commission established in Article 75 of Chapter 143 of the General Statutes. (19) Employees of the Health and Wellness Trust Fund Commission established in Article 21 of Chapter 130A of the General Statutes. (20) Repealed by Session Laws 2008-134, s. 73(d), effective July 28, 2008. (21) Repealed by Session Laws 2019-32, s. 1(b), effective July 1, 2019. (22) Employees of the North Carolina Turnpike Authority. (23) The Executive Administrator of the State Health Plan for Teachers and State Employees. (24) Employees of the State Health Plan for Teachers and State Employees as designated by law or by the Executive Administrator of the Plan. (25) The North Carolina State Lottery Director and employees of the North Carolina State Lottery. (26) Repealed by Session Laws 2011-145, s. 7.31(c), as added by Session Laws 2011-391, s. 17, and by Session Laws 2011-266, s. 1.37(c), effective July 1, 2011. (27) The Chief Administrative Law Judge of the Office of Administrative Hearings. (28) The Executive Director and the Assistant Director of the U.S.S. North Carolina Battleship Commission. (29) The Executive Director, Deputy Director, all other directors, assistant and associate directors, and center fellows of the North Carolina Center for the Advancement of Teaching. (30) Employees of the Department of Commerce employed in the Rural Economic Development Division. (31) Employees of the Office of Program Evaluation Reporting and Accountability of the Department of Health and Human Services. (32) Employees of the North Carolina Health Information Exchange Authority. (33) Employees of the Division of Health Benefits of the Department of Health and Human Services. (34) Employees of the Division of Medical Assistance of the Department of Health and Human Services hired on or after October 1, 2015. (35) The Associate Superintendent of Early Education who serves as chief academic officer of early education. (36) Employees of the Outdoor Heritage Advisory Council. (c10) Notwithstanding any other provision of this section, the provisions of G.S. 126-8.5 shall apply to all exempt and nonexempt State employees in the executive, legislative, and judicial branch unless provided otherwise by G.S. 126-8.5. The provisions of G.S. 126-8.5 shall not apply to employees described in subdivisions (2) and (3) of subsection (a) of this section. (c11) The following are exempt from: (i) the classification and compensation rules established by the State Human Resources Commission pursuant to G.S. 126-4(1) through (4); (ii) G.S. 126-4(5) only as it applies to hours and days of work, vacation, and sick leave; (iii) G.S. 126-4(6) only as it applies to promotion and transfer; (iv) G.S. 126-4(10) only as it applies to the prohibition of the establishment of incentive pay programs; and (v) Article 2 of Chapter 126 of the General Statutes, except for G.S. 126-7.1: (c12) Except as to G.S. 126-13, 126-14, 126-14.1, and the provisions of Articles 6, 7, 14, 15, and 16 of this Chapter, the provisions of this Chapter shall not apply to employees of the Department of State Treasurer possessing specialized skills or knowledge necessary for the proper administration of investment programs and compensated pursuant to G.S. 147-69.3(i2) . (c13) Except as to G.S. 126-13, 126-14, 126-14.1, and the provisions of Articles 6, 7, 14, 15, and 16 of this Chapter, the provisions of this Chapter shall not apply to employees of the Department of State Treasurer possessing specialized skills or knowledge necessary for the proper administration of the Supplemental Retirement Plans and compensated pursuant to G.S. 135-91(c) . (c14) Notwithstanding any provision of this Chapter to the contrary, each Council of State agency shall have the sole authority to set the salary of its exempt policymaking and exempt managerial positions within the minimum rates, and the maximum rates plus ten percent (10%), established by the State Human Resources Commission under G.S. 126-4(2). (c15) Notwithstanding any provision of this Chapter to the contrary, the State Chief Information Officer (State CIO) is authorized to do the following: (1) Classify or reclassify positions in the Department of Information Technology (DIT) according to the classification system established by the State Human Resources Commission (SHRC) as long as the employee meets the minimum requirements of the classification. (2) Set salaries for DIT employees within the salary ranges for the respective position classification established by the SHRC. (c16) Except as to the provisions of Articles 6, 7, and 8 of this Chapter, the provisions of this Chapter shall not apply to commissioned police officer positions of the University of North Carolina. Employees in positions covered by this exception shall be eligible for all employment and retirement benefits provided to State law enforcement officers subject to this Chapter. n. Department of Military and Veterans Affairs. History (1965, c. 640, s. 2; 1967, c. 24, s. 20; cc. 1038, 1143; 1969, c. 982; 1971, c. 1025, s. 2; 1973, c. 476, s. 143; 1975, c. 667, ss. 8, 9; 1977, c. 866, ss. 2-5; 1979, 2nd Sess., c. 1137, s. 40; 1983, c. 717, s. 41; c. 867, s. 2; 1985, c. 589, s. 38; c. 617, s. 1; c. 757, s. 206(c); 1985 (Reg. Sess., 1986), c. 955, s. 43; c. 1014, ss. 41, 235; c. 1022, s. 9; 1987, c. 320, s. 4; c. 395, s. 1; c. 809, s. 1; c. 850, s. 19; 1987 (Reg. Sess., 1988), c. 1064, s. 3; 1989, c. 168, s. 9; c. 236, s. 3; c. 484; c. 727, s. 218(85); c. 751, s. 7(13); 1991, c. 65, s. 2; c. 84, ss. 1, 2; c. 354, s. 3; c. 749, s. 4; 1991 (Reg. Sess., 1992), c. 879, s. 5; c. 959, s. 85; 1993, c. 145, s. 1; c. 321, s. 145(b); c. 553, ss. 39, 40; 1993 (Reg. Sess., 1994), c. 777, s. 4(g); 1995, c. 141, ss. 3, 5; c. 393, s. 1; 1995 (Reg. Sess., 1996), c. 690, s. 15; 1997-443, ss. 11A.118(a), 11A.119(a), 22.2(b); 1997-520, s. 3; 1998-212, s. 11.8(b); 1999-84, s. 21; 1999-253, s. 1; 1999-434, s. 25; 2000-137, s. 4(nn); 2000-147, s. 4; 2000-148, s. 3; 2001-92, s. 2; 2001-424, s. 32.16(a); 2001-474, s. 15; 2001-487, ss. 21(d), 30(a), (b); 2002-126, s. 28.4; 2002-133, s. 4; 2004-124, s. 31.27(b); 2004-129, s. 37; 2005-276, s. 29.34(b); 2005-344, s. 9; 2006-66, ss. 9.11(y), (z), 9.17(e), 18.2(e); 2006-204, s. 2; 2006-221, s. 20; 2006-259, s. 49; 2006-264, s. 11; 2007-117, s. 3(b); 2007-195, s. 1; 2007-323, s. 28.22A(o); 2007-345, s. 12; 2007-484, s. 9(c); 2008-134, s. 73(d); 2009-451, ss. 9.13(f), 27.31(c); 2011-145, ss. 7.31(c), 19.1(g), (h), ( l ); 2011-241, s. 5; 2011-266, s. 1.37(c); 2011-391, s. 17; 2012-83, s. 7; 2012-142, ss. 8.9A(c), 25.2E(a); 2012-151, s. 11(a); 2013-360, s. 15.10(d); 2013-382, ss. 4.1, 4.3, 4.4, 4.5, 9.1(c); 2013-410, s. 47.2(b); 2014-18, s. 1.4; 2014-100, ss. 7.17(a), 15.16(b), 33.2(b), 35.11(a); 2014-115, s. 55.3(a); 2015-164, s. 9(b); 2015-241, ss. 7A.4(k), 12A.3(b), 12A.5(e), 14.30(s), (u), 24.1(v); 2015-245, s. 20; 2015-268, s. 7.3(a); 2016-94, s. 15.10(b); 2016-126, 4th Ex. Sess., ss. 7, 8; 2017-6, s. 1; 2017-57, ss. 7.23I(b), 35.18C; 2017-186, s. 2(sssss); 2018-5, ss. 15.5(e), 35.19; 2018-84, s. 8(b); 2019-32, s. 1(b); 2019-200, s. 13; 2020-56, s. 7; 2020-78, s. 9.1; 2021-80, s. 1.) Alcohol Law Enforcement Agents Subject to State Personnel Act [now North Carolina Human Resources Act]. - Session Laws 2003-284, s. 17.6, provides: "The Department of Crime Control and Public Safety [now the Department of Public Safety] shall report to the Chairs of the House of Representatives and Senate Appropriations Committees and the Chairs of the House of Representatives and Senate Appropriations Subcommittees on Justice and Public Safety by April 1 of each year on the operations and effectiveness of the National Guard Tarheel Challenge Program. The report should evaluate the program's effectiveness as an intervention method for preventing juveniles from becoming undisciplined or delinquent. The report shall also evaluate the Program's role in improving individual skills and employment potential for participants and shall include: "(1) The source of referrals for individuals participating in the Program; "(2) The summary of types of actions or offenses committed by the participants of the Program; "(3) An analysis outlining the cost of providing services for each participant, including a breakdown of all expenditures related to the administration and operation of the Program and the education and treatment of the Program participants; "(4) The number of individuals who successfully complete the Program; and "(5) The number of participants who commit offenses after completing the Program." Department of Environmental Quality Reorganization Through Reduction. - Session Laws 2017-57, s. 13.26(a), (b), provides: "(a) Notwithstanding Section 8.3 of S.L. 2013-382, as amended by Section 55.3(g) of S.L. 2014-115 and Section 30.13(a) of S.L. 2015-241, the Office of State Human Resources shall allow the Department of Environmental Quality to use the Reorganization Through Reduction Program (RTR) throughout the 2017-2019 biennium to achieve the savings required by this act. "(b) As part of the reorganization required by this section, the Department of Environmental Quality shall move the Utility Savings Initiative from the Division of Environmental Assistance and Customer Service to the State Energy Office." Editor's Note. - Subdivision (c1)(20) was enacted as subdivision (c1)(18) by Session Laws 2000-148, s. 3, and redesignated as subdivision (c1)(20) at the direction of the Revisor of Statutes. Subdivision (c1)(21), as added by Session Laws 2002-133, s. 4, was renumbered as subdivision (c1)(22) at the direction of the Revisor of Statutes. Subdivision (c1)(24), as added by Session Laws 2005-344, s. 9, was redesignated as subdivision (c1)(25) at the direction of the Revisor of Statutes. Subsection (c6), as added by Session Laws 1997-520, s. 3, was redesignated as subsection (c7) at the direction of the Revisor of Statutes. Session Laws 2000-147, s. 8(a)-(c), provides: "(a) Interpretation of Act. - The foregoing sections of this act provide an additional and alternative method for the doing of the things authorized by the act, are supplemental and additional to powers conferred by other laws, and do not derogate any powers now existing. "(b) References in this act to specific sections or Chapters of the General Statutes are intended to be references to those sections or Chapters as amended and as they may be amended from time to time by the General Assembly. "(c) This act, being necessary for the health and welfare of the people of the State, shall be liberally construed to effect its purposes." Session Laws 2000-147, s. 8(d), is a severability clause. Session Laws 2001-424, s. 21.14(b), as amended by 2001-487, s. 110, provides: "Under the direction of the Secretary of Health and Human Services, the Director of the Office of Policy and Planning shall have the authority to direct Divisions, offices, and programs within the Department to conduct periodic reviews of policies, plans, and rules and shall advise the Secretary when it is determined to be appropriate or necessary to modify, amend, and repeal departmental policies, plans, and rules. All professional and supervisory employees in policy and management positions within the Office of Policy and Planning are exempt from Chapter 126 of the General Statutes except for Articles 6, 7, and 14 of that Chapter. Exempt positions within the Office of Policy and Planning shall not count toward the exempt position totals authorized by G.S. 126-5(d)(1)." Session Laws 2001-424, s. 1.2, provides: "This act shall be known as the 'Current Operations and Capital Improvements Appropriations Act of 2001'." Session Laws 2001-424, s. 36.3, provides: "Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2001-2003 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2001-2003 fiscal biennium." Session Laws 2001-424, s. 36.5, is a severability clause. Session Laws 2003-284, s. 1.2, provides: "This act shall be known as the 'Current Operations and Capital Improvements Appropriations Act of 2003'." Session Laws 2003-284, s. 49.3, provides: "Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2003-2005 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2003-2005 fiscal biennium." Session Laws 2003-284, s. 49.5, is a severability clause. Session Laws 2005-276, s. 29.34(c), effective July 1, 2005, provides: "Notwithstanding G.S. 143-34.1, the Executive Administrator may establish and fill up to three additional managerial, professional, or policy-making positions as necessary to implement the Plan and may designate these positions as exempt from the State Personnel Act [now State Human Resources Act]." Session Laws 2005-276, s. 1.2, provides: "This act shall be known as the 'Current Operations and Capital Improvements Appropriations Act of 2005'." Session Laws 2005-276, s. 46.5, is a severability clause. Session Laws 2005-344, which enacted the North Carolina State Lottery, in s. 14, provides: "Nothing in this act shall be construed to obligate the General Assembly to appropriate funds to implement this act." Session Laws 2006-66, s. 18.2(e), which added subdivision (c1)(26), was added by Session Laws 2006-221, s. 20, and amended by Session Laws 2006-259, s. 49, which recodified (c1)(26) as (c1)(27). The subdivision was then redesignated as (c1)(28) at the direction of the Revisor of Statutes. Session Laws 2006-249, s. 3, provides: "Personnel. - For the purpose of improving efficiency and cost-effectiveness of Plan operations, the Executive Administrator and Board of Trustees of the North Carolina State Health Plan may create eight new full-time positions, five of which shall be subject to the State Personnel Act [now State Human Resources Act] under G.S. 126-5, and three of which shall be exempt from the State Personnel Act under G.S. 126-5(c). The Executive Administrator and Board of Trustees may use up to five hundred sixty-three thousand one hundred six dollars ($563,106) of available funds to support these positions." Session Laws 2006-259, s. 49, provides: "If House Bill 2762, 2005 Regular Session [2006-204], becomes law, then G.S. 166-5(c1)(26), as enacted by that act, is recodified as G.S. 126-5(c1)(27) [now (c1)(28)]." Subdivision (d)(1) was amended by Session Laws 2012-83, s. 7, and by Session Laws s. 25.2E(a), in the coded bill drafting format provided by G.S. 120-20.1. Subdivision (d)(1) has been set out in the form above at the direction of the Revisor of Statutes. Session Laws 2012-142, s. 1.2, provides: "This act shall be known as 'The Current Operations and Capital Improvements Appropriations Act of 2012.'" Session Laws 2012-142, s. 27.7, is a severability clause. Session Laws 2013-382, s. 4.6, as amended by Session Laws 2013-410, s. 47.2(b), made the repeal of subsections (e) and (f) by Session Laws 2013-382, ss. 4.3 and 4.4, applicable to State employees hired on or after August 21, 2013. Session Laws 2013-410, s. 47.2(b), was contingent on House Bill 834, 2013 Regular Session becoming law. House Bill 834 was enacted as Session Laws 2013-382. Session Laws 2013-382, s. 9.1(b), provides: "The following entities and positions created by Chapter 126 of the General Statutes are hereby renamed by this act: "(1) The State Personnel Commission is renamed the 'North Carolina Human Resources Commission.' "(2) The Office of State Personnel is renamed the 'North Carolina Office of State Human Resources.' "(3) The State Personnel Director is renamed the 'Director of the North Carolina Office of State Human Resources.' " Session Laws 2013-382, s. 9.1(c), provides: "Modification of References. - The Revisor of Statutes shall delete any references in the General Statutes to the State Personnel Act, State Personnel Commission, the State Personnel Director, and the Office of State Personnel (or any derivatives thereof) and substitute references to the North Carolina Human Resources Act, the State Human Resources Commission, the Director of the Office of State Human Resources, and the Office of Human Resources (or the appropriate derivative thereof) to effectuate the renaming set forth in this section wherever conforming changes are necessary." Session Laws 2013-382, s. 9.2, provides: "No action or proceeding pending on the effective date of this section [August 21, 2013], brought by or against the State Personnel Commission, the Director of the Office of State Personnel, or the Office of State Personnel, shall be affected by any provision of this section, but the same may be prosecuted or defended in the new name of the Commission, Director, and Office. In these actions and proceedings, the renamed Commission, Director, or Office shall be substituted as a party upon proper application to the courts or other public bodies." Session Laws 2013-382, s. 9.3, provides: "Any business or other matter undertaken or commanded by the former State Personnel Commission, State Personnel Director, or Office of State Personnel regarding any State program, office, or contract or pertaining to or connected with their respective functions, powers, obligations, and duties that are pending on the date this act becomes effective [August 21, 2013] may be conducted and completed by the Commission, Director, or Office in the same manner and under the same terms and conditions and with the same effect as if conducted and completed by the formerly named commission, director, or office." Section 126-34.1, referred to in subsection (c7), was repealed by Session Laws 2013-382, s. 6.1, effective August 21, 2013. Session Laws 2014-18, s. 6.1, provides: "Nothing in this act shall be construed to obligate the General Assembly to appropriate funds to implement this act." Session Laws 2014-100, s. 33.2(c), provides: "There is hereby established a Compensation Reserve within the Investment Division of the Department of State Treasurer for the purpose of funding the compensation plans described in this section." Session Laws 2014-100, s. 35.11(b), made the amendment to this section by Session Laws 2014-100, s. 35.11(a), effective August 7, 2014, and applicable to State employees hired before June 30, 2013. Session Laws 2014-100, s. 1.1, provides: "This act shall be known as 'The Current Operations and Capital Improvements Appropriations Act of 2014.'" Session Laws 2014-100, s. 38.4, provides: "Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2014-2015 fiscal year, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2014-2015 fiscal year." Session Laws 2014-100, s. 38.7, is a severability clause. Session Laws 2015-241, s. 12A.5(f1), as added by Session Laws 2015-264, s. 86.5(d), provides: "Notwithstanding any provision of this section, covered entities that are required to submit demographic and clinical information through the successor HIE Network described in subsection (a) of this section pursuant to G.S. 90-414.4(b) , as enacted by subsection (d) of this section, shall not be required to submit such demographic and clinical information through the successor HIE Network until the Authority establishes a date for covered entities to begin submitting demographic and clinical information through the HIE Network or by other secure electronic means, as provided in G.S. 90-414.4(b) , as enacted by subsection (d) of this section." Session Laws 2015-241, s. 12A.5(g), as amended by Session Laws 2015-264, s. 86.5(e), provides: "Except as provided in subsection (f1) of this section, subsections (d) and (e) of this section become effective October 1, 2015. Subsection (f) of this section becomes effective on the date the State Chief Information Officer notifies the Revisor of Statutes that all contracts pertaining to the HIE Network established under Article 29A of Chapter 90 of the General Statutes (i) between the State and the NC HIE, as defined in G.S. 90-413.3, and (ii) between the NC HIE and any third parties have been terminated or assigned to the North Carolina Health Information Exchange Authority established under Article 29B of Chapter 90 of the General Statutes, as enacted by subsection (d) of this section. The remainder of this section becomes effective July 1, 2015." Session Laws 2015-241, s. 1.1, provides: "This act shall be known as 'The Current Operations and Capital Improvements Appropriations Act of 2015.'" Session Laws 2015-241, s. 33.4, provides: "Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2015-2017 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2015-2017 fiscal biennium." Session Laws 2015-241, s. 33.6, is a severability clause. Session Laws 2015-241, s. 24.1(ww), as amended by Session Laws 2015-268, s. 7.3(a), made the amendment of this section by Session Laws 2015-241, s. 24.1(v), effective July 1, 2015. Session Laws 2016-94, s. 1.2, provides: "This act shall be known as the 'Current Operations and Capital Improvements Appropriations Act of 2016.'" Session Laws 2016-94, s. 39.7, is a severability clause. Session Laws 2016-126, 4th Ex. Sess., s. 42, is a severability clause. Session Laws 2017-57, s. 1.1, provides: "This act shall be known as the 'Current Operations Appropriations Act of 2017.'" Session Laws 2017-57, s. 39.4, provides: "Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2017-2019 fiscal biennium, the textual provisions of this act apply only to funds appropriated for, and activities occurring during, the 2017-2019 fiscal biennium." Session Laws 2017-57, s. 39.6, is a severability clause. Session Laws 2018-5, s. 1.1, provides: "This act shall be known as the 'Current Operations Appropriations Act of 2018.'" Session Laws 2018-5, s. 39.7, is a severability clause. Session Laws 2019-32, s. 7, provides: "This act becomes effective July 1, 2019. All rules, regulations, and decisions made by the predecessor boards and authorities reconstituted in this act shall remain in full force and effect until and unless duly modified by the successor entities." Session Laws 2020-78, s. 22.1, provides: "Except for statutory changes or other provisions that clearly indicate an intention to have effects beyond the 2019-2021 fiscal biennium, the textual provisions of this act apply only to the 2019-2021 fiscal biennium." Session Laws 2020-78, s. 22.3, is a severability clause. Effect of Amendments. - Session Laws 2004-124, s. 31.27(b), effective July 1, 2004, added subdivision (c1)(23). Session Laws 2004-129, s. 37, effective July 1, 2004, repealed subdivision (c1)(17). Session Laws 2005-276, s. 29.34(b), effective July 1, 2005, added subdivision (c1)(24). Session Laws 2005-344, s. 9, effective July 1, 2005, added subdivision (a1)(25). Session Laws 2006-66, s. 9.11(y) and (z), effective July 1, 2007, substituted "North Carolina, including the faculty of the North Carolina School of Science and Mathematics" for "North Carolina" at the end of subdivision (c1)(8); and repealed subdivision (c1)(11), relating to employees of the North Carolina School of Science and Mathematics. Session Laws 2006-66, s. 9.17(e), effective January 1, 2007, except that the General Assembly and the Governor may make appointments prior to that date for terms beginning January 1, 2007, added subdivision (c1)(26). Session Laws 2006-66, s. 18.2(e), as added by 2006-221, s. 20, effective July 1, 2006, added subdivision (c1)(27). Session Laws 2006-204, s. 2, effective August 8, 2006, added subdivision (c1)(26) (now (c1)(28)). Session Laws 2006-264, s. 11, effective August 27, 2006, substituted "G.S. 126-1.1" for "subsection (c)(1) above" in subdivision (e)(1). Session Laws 2007-117, s. 3(b), effective July 1, 2007, added subsections (c9) and (c10). Session Laws 2007-195, s. 1, effective July 8, 2007, added subdivision (c1)(9a). Session Laws 2007-323, s. 28.22A(o), as amended by Session Laws 2007-345, s. 12, effective July 1, 2008, substituted "State Health Plan for Teachers and State Employees" for "Teachers' and State Employees' Comprehensive Major Medical Plan" in subdivisions (c1)(23) and (c1)(24). Session Laws 2007-484, s. 9(c), effective August 30, 2007, added subsection (c11). Session Laws 2008-134, s. 73(d), effective July 28, 2008, repealed subdivision (c1)(20), which read: "Employees of the North Carolina Rural Redevelopment Authority created in Part 2D of Article 10 of Chapter 143B of the General Statutes." Session Laws 2009-451, s. 9.13(f), effective July 1, 2009, added subdivision (c1)(29). Session Laws 2011-145, s. 7.31(c), as added by Session Laws 2011-391, s. 17, effective July 1, 2011, repealed subdivision (c1)(26), which read: "The Executive Director, associate and assistant directors, and instructional staff of the North Carolina Teacher Academy." Session Laws 2011-145, s. 19.1(g), (h), and ( l ), effective January 1, 2012, in subsection (c)(3) and subdivision (d)(1)c., substituted "Division of Adult Correction of the Department of Public Safety" for "Department of Correction"; in subdivision (d)(1)d., substituted "Public Safety" for "Crime Control and Public Safety"; and in subdivision (d)(1)j., substituted "Division of Juvenile Justice of the Department of Public Safety" for "Department of Juvenile Justice and Delinquency Prevention." Session Laws 2011-241, s. 5, effective June 23, 2011, added subdivision (c1)(8a). Session Laws 2011-266, s. 1.37(c), effective July 1, 2011, repealed subdivision (c1)(26), which read: "The Executive Director, associate and assistant directors, and instructional staff of the North Carolina Teacher Academy." Session Laws 2012-83, s. 7, effective June 26, 2012, deleted subdivision (d)(1)c., which read: "Division of Adult Correction of the Department of Public Safety;"; deleted subdivision (d)(1)j., which read: "Division of Juvenile Justice of the Department of Public Safety."; in the undesignated paragraph of subdivision (d)(1), added the second and fourth sentences and made minor punctuation changes. Session Laws 2012-142, s. 8.9A(c), effective July 1, 2012, added subdivision (c2)(4). Session Laws 2012-142, s. 25.2E(a), effective January 1, 2013, in subdivision (d)(4), twice substituted "180 days" for "120 days", deleted subdivision (d)(1)c. and subdivision (d)(1)j. and deleted the paragraph following subdivision (d)(1)j.; in subdivision (d)(5), substituted "July 1" for "May 1" and substituted "180 days" for "120 days." Session Laws 2012-151, s. 11(a), effective July 12, 2012, added "except as otherwise provided in Chapter 122C of the General Statutes" to the end of subdivision (a)(2)a, and made a minor punctuation change. Session Laws 2013-360, s. 15.10(d), effective July 1, 2013, added subdivision (c1)(30). Session Laws 2013-382, ss. 4.1, 4.3, 4.4, and 4.5, as amended by Session Laws 2013-410, s. 47.2(b), effective August 21, 2013, in subdivision (d)(1), substituted "1,500" for "1,000," added "and offices," and deleted the last paragraph; and added subdivisions (d)(1)k-m; substituted "October 1" for "July 1" in subdivision (d)(5); and repealed subsections (e) and (f). For effective date and applicability of repeal of subsections (e) and (f), see Editor's note. Session Laws 2013-382, s. 9.1(c), effective August 21, 2013, substituted "Director of the Office of State Human Resources" for "State Personnel Director," "State Human Resources Commission" for "State Personnel Commission," "North Carolina Human Resources Act" for "State Personnel Act," and "Office of State Human Resources" for "Office of State Personnel" throughout the section. Session Laws 2014-18, s. 1.4, effective July 1, 2014, added subdivisions (c2)(5) and (d)(2b). Session Laws 2014-100, ss. 7.17(a) and 15.16(b), effective August 7, 2014, added subdivisions (c1)(2a), (c11)(3) and inserted "for deputy commissioners appointed pursuant to G.S. 97-79 and" in the first sentence of subdivision (d)(7). Session Laws 2014-100, s. 33.2(b), effective July 1, 2014, added subsection (c12). Session Laws 2014-100, s. 35.11(a), effective August 7, 2014, and applicable to State employees hired before June 30, 2013, deleted "and within a 35 mile radius of the exempt position" following "another agency" in subdivision (e)(2). See Editor's notes for effective date and applicability. Session Laws 2014-115, s. 55.3(a), effective August 11, 2014, in subsection (e), added "as follows" to the introductory paragraph; made a minor stylistic change in subdivision (e)(1); inserted "or her" in subdivision (e)(2); and added subdivisions (e)(3) and (e)(4). Session Laws 2015-164, s. 9(b), effective October 1, 2015, added subsection (c13). Session Laws 2015-241, s. 7A.4(k), effective September 18, 2015, in subdivision (c11)(3), substituted "Department of Information Technology (DIT)" for "Office of the State Chief Information Officer, the Office of Information Technology Services (ITS)," and "DIT employees" for "ITS employees"; substituted "Department of Information Technology" for "Office of Information Technology Services" in subdivision (d)(1)(k). Session Laws 2015-241, s. 12A.3(b), effective July 1, 2015 added subdivision (c1)(31). Session Laws 2015-241, s. 12A.5(e), effective October 1, 2015, added subdivision (c1)(32). Session Laws 2015-241, s. 14.30(s), (u), effective July 1, 2015, substituted "Department of Natural and Cultural Resources" for "Department of Cultural Resources" in subdivisions (c11)(2) and (d)(1)e; and in subsection (d), substituted "Department of Environmental Quality" for "Department of Environment and Natural Resources" in subdivision (1)g, and substituted "Departments of Commerce, Environmental Quality, and Transportation" for "Departments of Commerce, Environment and Natural Resources, and Transportation" in subdivision (2b). Session Laws 2015-241, s. 24.1(v), added subdivision (d)(1)n. For effective date, see editor's note. Session Laws 2015-245, s. 20, effective September 23, 2015, added subdivisions (c1)(34) and (c1)(35). Session Laws 2016-94, s. 15.10(b), effective July 1, 2016, added subdivision (c1)(30a). Session Laws 2016-126, 4th Ex. Sess., s. 7, effective December 19, 2016, in subdivision (d)(1), substituted "425 exempt positions" for "1,500 exempt positions" in the introductory language, and deleted former sub-subdivisions l. and m., which read: "Office of State Budget and Management" and "Office of State Human Resources," respectively; in subdivision (d)(2), rewrote the third and fourth sentences, and added the last two sentences; and added subdivision (d)(2c). Session Laws 2016-126, Ex. 4th Sess., s. 8, effective January 1, 2017, in subdivision (d)(2), inserted "the Superintendent of Public Instruction" in the first sentence, deleted the former second, which read: "The State Board of Education may designate exempt positions in the Department of Public Instruction," deleted "other than the Department of Public Instruction" preceding "shall be limited," and substituted "Superintendent of Public Instruction" for "State Board of Education" in the last two sentences; rewrote the first sentence in subdivision (d)(2a); deleted the former last sentence in subsection (d)(4); substituted "Governor or elected department head" for "Governor, elected department head, or State Board of Education" in the first sentence of subdivision (d)(5); substituted "Governor or by an elected department head" for "Governor, by an elected department head, or by the State Board of Education" in the first sentence of subdivision (d)(5). Session Laws 2017-6, s. 1, effective May 1, 2017, deleted former subdivision (d)(2c), which concerned changes in cabinet department exempt position designation. Session Laws 2017-57, ss. 7.23I(b), 35.18C, effective July 1, 2017, added subdivision (c1)(35); and inserted "information technology professionals," in subdivision (c1)(8). Session Laws 2017-186, s. 2(sssss), effective December 1, 2017, inserted "and Juvenile Justice" in subsection (c3). Session Laws 2018-5, s. 15.5(e), effective July 1, 2018, repealed subdivision (c1)(30a), which read: "Employees of the Department of Commerce employed in the International Recruiting Coordination Office created in G.S. 143B-432.2." Session Laws 2018-5, s. 35.19, effective July 1, 2018, added subsection (c14). Session Laws 2018-84, s. 8(b), effective June 25, 2018, deleted "and the Deputy Executive Administrator" preceding "of the State" in subdivision (c1)(23). Session Laws 2019-32, s. 1(b), effective July 1, 2019, deleted subdivision (c1)(21). For effective date and applicability, see editor's note. Session Laws 2019-200, s. 13, effective August 21, 2019, added subsection (c15). Session Laws 2020-56, s. 7, effective June 30, 2020, added subsection (c16). Session Laws 2020-78, s. 9.1, effective July 1, 2020, added subdivision (c1)(36). Session Laws 2021-80, s. 1, effective July 8, 2021, inserted "finance professionals, business office professionals, auditor professionals” in subdivision (c1)(8). Legal Periodicals. - For survey of 1977 law on employment regulation, see 56 N.C.L. Rev. 854 (1978). For article, "The Meaning of Just Cause in North Carolina Public Employment Law: Carroll and its Progeny Provide for a Heightened Multifactor Standard for State Employee Disciplinary Cases," see 33 Campbell L. Rev. 341 (2011). For article, "Far From a 'Dead Letter': The Contract Clause and North Carolina Association of Educators v. State," see 96 N.C.L. Rev. 168 (2018).